Podcast
Questions and Answers
The form of business ownership that combines the benefits of a corporation with those of proprietorship and partnerships is a(n) ___________
The form of business ownership that combines the benefits of a corporation with those of proprietorship and partnerships is a(n) ___________
LLC
The group of individuals who make high-level management decisions for a corporation and establishes company policies is called the _________
The group of individuals who make high-level management decisions for a corporation and establishes company policies is called the _________
Board of Directors
The form of business ownership described as an 'artificial person' is a(n) ___________
The form of business ownership described as an 'artificial person' is a(n) ___________
corporation
A partner who does not participate in managing the business is a(n) ___________ partner.
A partner who does not participate in managing the business is a(n) ___________ partner.
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The simplest and most common form of business ownership is a(n) _____________
The simplest and most common form of business ownership is a(n) _____________
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Wholesalers are often called ___________
Wholesalers are often called ___________
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The __________ market consists of customers who buy products for their own use.
The __________ market consists of customers who buy products for their own use.
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The customer of a service business is often called a _____________
The customer of a service business is often called a _____________
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Governmental organizations are part of the __________ sector.
Governmental organizations are part of the __________ sector.
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One of the sole purposes of a for-profit business is to be productive and generate money for its _________
One of the sole purposes of a for-profit business is to be productive and generate money for its _________
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Cooperatives are run ___________
Cooperatives are run ___________
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A major advantage of forming a corporation is ___________
A major advantage of forming a corporation is ___________
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Which is a form of business ownership that provides limited liability to its owners, but is taxed as a partnership?
Which is a form of business ownership that provides limited liability to its owners, but is taxed as a partnership?
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Which is not an advantage of a partnership form of ownership?
Which is not an advantage of a partnership form of ownership?
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The two common types of partnerships are ___________
The two common types of partnerships are ___________
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Which of the following is a business that is owned and operated by a single individual?
Which of the following is a business that is owned and operated by a single individual?
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An accounting firm that prepares taxes for an advertising agency operates in the _________ market.
An accounting firm that prepares taxes for an advertising agency operates in the _________ market.
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Which is not an example of a not-for-profit organization?
Which is not an example of a not-for-profit organization?
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_________ is a numeric system to classify businesses and collect economic statistics.
_________ is a numeric system to classify businesses and collect economic statistics.
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Which of the following is an example of an intermediary?
Which of the following is an example of an intermediary?
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What is a portion of a corporation's earnings distributed to stockholders?
What is a portion of a corporation's earnings distributed to stockholders?
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What is a business that is owned and often operated by a single individual?
What is a business that is owned and often operated by a single individual?
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What is an organization that exists to serve some public purpose?
What is an organization that exists to serve some public purpose?
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What is a share of ownership in a corporation?
What is a share of ownership in a corporation?
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What is a business that buys products from wholesalers or directly from producers, and sells them to consumers to make a profit?
What is a business that buys products from wholesalers or directly from producers, and sells them to consumers to make a profit?
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What is a business that is owned and operated by those using its services?
What is a business that is owned and operated by those using its services?
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What is a market that consists of customers who buy products for use in a business?
What is a market that consists of customers who buy products for use in a business?
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What is an association of two or more persons who co-own a business with the objective of earning a profit?
What is an association of two or more persons who co-own a business with the objective of earning a profit?
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What is a business that buys large quantities of products directly from producers and sells the products in smaller quantities to retailers?
What is a business that buys large quantities of products directly from producers and sells the products in smaller quantities to retailers?
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What is a business that creates goods and services?
What is a business that creates goods and services?
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Study Notes
Business Ownership Types
- LLC (Limited Liability Company): Combines benefits of corporations and partnerships, providing flexibility and protection for owners.
- Corporation: Described as an "artificial person," it has legal rights and responsibilities separate from its owners.
- Partnership: A simple and common business form where two or more individuals co-own a business aiming for profit.
- Proprietorship: Owned and often operated by a single individual, offering simplicity in establishment.
Business Management and Structure
- Board of Directors: High-level management group responsible for strategic decisions and company policy establishment.
- General vs. Limited Partnerships: General partners manage the business, while limited partners do not participate in management.
Market and Consumer Definitions
- Consumers: Customers who purchase products for personal use, forming the consumer market.
- Business Market: Consists of customers who buy products for operational use, such as accounting firms serving businesses.
- Retailers: Businesses that purchase products from wholesalers or producers and sell them to consumers for profit.
Organizational Types
- Not-for-Profit Organization: Exists to serve a public purpose rather than to generate profit.
- Cooperative: Owned by users for mutual benefit; operates democratically.
Business Financial Aspects
- Dividends: Portions of corporate earnings distributed to stockholders as a return on investment.
- Stock: Represents ownership in a corporation and entitles shareholders to a share of profits.
Industry Specifics
- NAICS (North American Industry Classification System): A numeric system designed to classify businesses and gather economic data.
- Wholesaler: Buys products in bulk from manufacturers and sells them in smaller quantities to retailers.
- Intermediaries: Businesses like new car dealerships serve roles between producers and consumers.
Key Business Concepts
- Limited Liability: A primary advantage of corporations allowing owners to limit personal risk to their investment in the company.
- Business-to-Business (B2B): Transactions between businesses, such as an accounting firm working for an advertising agency.
Studying That Suits You
Use AI to generate personalized quizzes and flashcards to suit your learning preferences.
Description
Test your knowledge with these flashcards on key concepts from Chapter 4 of Intro to Business. Each card presents a term and its definition, helping reinforce important ideas like business ownership structures and corporate governance. Perfect for students looking to review foundational business principles!
